HUD Approval Funding Agreement (8-21-09)
~Q~Q~~`~"TO~,~ ll.S. Department of Housing and Urban Development ~ 4ffice of Community P~anning and D~velopment
~ l.os Angeles F~eld Office, Region IX
Q~ I; fi11 W. 6t" Street, Suite ~QQD-9DD L r Los Angeles, CA 9~011-3~01 9e'~'V DE~ ~4
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P.E. Cotton
City of Encinitas
545 S. Vu~can Avenue
Encini~as, CA 92024 ~
Dear Mr. Cot~on:
SUBJECT: Community Deve~opment Block Grant Recovery ~CDBG-R) Pro ram : g
Gran~ Agreement ~orrec~ion
Project Number: B-U9-MY-Ub-~574 ~
Grant agxeements for ~he City of Enc~nitas's CDBG-R Program ~vere ~xansmitted to your
~ffice on August 1 S, 2~D~. Regretfully, the agreement contained xncorrect dates. ;
Enclosed are three copies of ~he revised agreements. Your organization's DUNS Number was
added to Box 2 of the form. In addition, the fo~~owing fields have been corrected:
Fxeld From To
Box 4; Date use of funds may begin 71112~09 61412~ag ~
Box 9b: Date Grantee Notified 7/27/2049 Date of this transmittai ~e~ter.
Box 9c: Date of Start of Program Year 7/1/2009 F~eld i~atentional~y left blank. : ;
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~Ve sincerely apologize for any inconven~ence that this may have caused. Please execu~e and ;
return two copies of ~he Grant Agreemen~, retaining one copy for your files, as expeditiously as ' ~ ~
possible. If you have any questions or ~equire addi~ional assistance, please contact Chris Yao a~ (213} ~ ~
534-2577. ~ ~ ;
Sincereiy, ~
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; ~Vil~iam C~. Vasquez ~
Director of Commun~ty P~a ' !
~ and Development i
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; Enclosures ~
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~QPP~~`EUrcFyo ~ U.S. Depar#me~t of Housing and Urban Development
~ oo ~ . ~fifice of Community Planning and Development a*~ ~ Los Angeles Field Office, Region IX
4G I I~ . 611 W. 6th Street, Suite 1Q00
9e~N~JEUF4~~ Los Angeles, California 90D17-31D1
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P. E. Co~~on, City Manager
City of Enc~nxtas
505 S. Vulcan Avenue
Encinitas, CA 92424
Dear Mr. Co~ton:
SUBJECT: 2~QS Action Plan Substant~al Amendment Approved
P~ojec~ Numbe~: B-Q9-MY~06-0574
The Department is p~eased ~o announce the approval of the City of Enc~ni~as's Substant~al
Amendment to ~ts Fiscal Yea~ 2005 Act~on P~an for Community Development Block Grant Recovery
~CDBG~R~ Progxam funding, These funds were authox~zed by the American Recovexy and
Reinvestment Act of 2409 ~Reco~exy Act}. The City of Encin~~as has been au~horized to receive
$107,653 ~n CDBG-R Pxogram fundxng.
Enclosed are three copies of the Gran~ Agreement ~including ~he Funding Approva~ ~Form
HUD-7fl82} and Special Conditions} between the U. S. Department of Housing and Urban
Development ~HUD} and the City of Encinitas for the CDBG-R Prog~am. ~n order to estab~~sh a Line
of Credzt for your CDBG-R gran~, it will be necessary ~o e~ecute and re~urn two copies of the Grant
Agreement, reta~nxng ane copy fox your fi~es. Failure to execute and retu~n the gran~ agreernents
w~th~n 3~ days of the ~ransmi~ta~ date may be deemed to constitu~e rejection of ~he g~ant and cause for
HUD to dete~mine that the funds are avai~able for reallocation to othex grantees.
Financial Mana ement '
All CDBG-R funds must be spen~ no later than September 30, 2412. Please be advised tha~ ,
HUD estab~ishes a cu~~off date for submiss~on of dra~v requests several days before the end of a fiscal
year because of sys~ems and disbursing ~e~ated issues. You will be notified of the expenditure cut-aff
date for the CDBG-R gran~ funds ~n 201
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i Grantees are reminded that ~he Recovery Act was enac~ed to provide an immediate s~imu~us to
the economy. The curren~ p~actice by many gxantees - to mee~ immedia~e cash needs by pay~ng
outstanding obliga~~ons for CDBC activi~ies wi~h local funds, and then to obtain retmbu~semen~ from
theix Line of Cred~t on a semi-annual or yearly basxs - works against governments' ~ scal constraints as
well as the transparency prov~sions of ~he Recovery Act. HUD strongly encou~ages grantees to ~
examine their curren~ d~awdown pxac~ices for HUD formula grant funding, and to make adjustments as
necessa~~ to ensuxe ~hat CDBG~R funds are drawn down on a regular basis. HUD expects that !
grantees wi~~ draw down CDBG-R funds on at ~east a quarter~y basis, assuming the e~istence of actual
cash needs for CDBG-R ac~ivities, and consistent with federal financia~ management regulations.
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Please be advised that if there is a need to establ~sh or change ~he depositor~ account ~o which
these gran~ funds are to be wired, a Dzxect Deposit Sign-Up Form ~SF-~ 199A~ must be completed by
you and your financial xns~itution and mai~ed to th~s office,
Polic Reminders I'
Certain act~v~ties are subject ~o the provisions of 24 CFR Part 58, Envzronmental Rev~ew
Procedures for Entities Assumxng HUD Environmental Responsibilities. Funds for such activities may
no~ be obligated or expended unless the release of funds has been appxoved in wri~ing by HUD. A
request for the ~elease of funds must be accompanied by an envxxonmental cer~ification. .
Section 1 b05 of the Recovery Act requires grantees to comp~y with pravisions of the. Buy ,
American Act for all ~DBC-R assis~ed public buiid~ngs and public wo~ks. HUD ~s in the process of
developing further implementation guidance for grantees regardxng compliance with thxs pxovision and
the process for requesting a waiver of these provisions. ~ 'i
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5ection ~ b44 of the Recovery Act contazned language that signlfican~ly expanded ~he {
applicab~lity of Davis-Bacon Act labor star~dards provisians to CDBG-R funded construction work. ,
Please be adv~sed that Sec~ion 12fl5 of the Supplementa~ Appxopria~ions Act signed by Presiden~ ' ~bama on June 24, 2~~9, repealed the app~icability of Section 16~4 of the Recovery Act to CDBG-R
activit~es. All CDBG-R funded construction act~vi~ies are now subject ta the same labor standard
p~ovis~ons that appl~r to regu~ar ~annual formula} CDBG funding, pursuant to Section 1~4 of the
Housing and Community Development Ac~ of 1974, as amended.
Re or~~n Re u~rements
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The Recovery Act requires timel and accurate ~e ortin of the CDBG-R rant. Accordin to '
Y p~ g g ~ Section 1512~, grantees must provide the following rnformation no la~e~ than 1 D days after the end of ~
~ each ca~endar quar~er; . I
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~ ~ ~ ~ 1} The total amount of recovery funds received; +
~2} The amount of recovery funds rece~ved that were expended or obligated to project ;
, . ; act~vxties; and, ~ ~
, ~3~ A detailed list of all projects ar activities for wh~ch ~ecavery funds were expended or ;
~ obiigated, inc~uding the name of the project or ac~ivity; a description of the p~~ject or '
~ activity; an evaluat~on of ~he completzon s~atus of the projec~ or activity; an estimate of the f
number of jobs crea~ed and number of jobs retained by the p~ojec~ or act~vity; and for ~
infrastructure investments made, the purpose, total cost and rat~onale of ~he agency fo~
funding infrastruc~ure investment w~th funds made available under the Recovery Act and ~
name of pexson ~o contact at ~he jurisdiction, if there a~e concerns with ~he infrastructure ~
. ~ investmen~. ~
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At th~s time, HUD in~ends that grantees w~~l enter this data into ~he In~egrated D~sbursement
and Information System (IDIS~, so that HUD can au~oma~ically generate ~he quarterly reports.
However, the Office of Management and Budge~ has not finalized the governmen~-wide reporting
requirements for Recove~y Act funds. HUD will provide gu~dance on spec~fic reporting xequirem.ents
a~ a iater date.
The necessar~ changes to ID~S to accommoda~e CDBG-R xepo~ing requirements have not
been full~ implemented yet. ~n the meantime, please make sure you are co~iecting al~ necessary data,
both fxom gran~ee sou~ces and from all subrecipients and contractors, as it may be necessary for you to .
backfill this data into ID7S at a latex date, once system changes have been made.
Please be advised that zf there is a need to delete o~ add ~ndividuals authorized to access ~he
ID~S, an ID~S Security Access Authorization Foxm ~February 1999~ must be prepared, notarized, and
re~urned ~o Chis office with ~he Grant Agreement.
The Recovery Act also requ~res that State and local governments receiving Recovexy Ac~ funds
repor~ on the status of the environmental compliance reviews. HUD grantees are required ~o go to:
~tt :1{ or~al.hud. ~ovla ~am sl and complete the information for aII Recovery Ac~ funded activi~ies.
~nformation should be entered when an activity's environmental comp~~ance ~eview is sta~ted and
when it is completed. This repo~txng requirement wii~ continue throughout the implementatxon pe~iod
of the activi~y.
P1ea~e return two copies of the execu~ed grant agreement to th~s offxce as expediti~us~y as
possible, but no ~ater than 30 days of the date of this ~etter. If you have any questions or require any
assistance, please contact Chris Yao, Community P~anning and Development Represen~ative, a~ ~213}
534-2577. ~Ve look forward to working with you and your staff throughout the coming year.
Sincerely,
~
~
~illiam G. Vasquez
Direc~or of Cammunity Plann~ng and Deve~opment
Enclosures
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Funding Approva~lAgreement u.S. Department of Housing and Urban Development
Title I of the Housing and Community 4ffice of Community Planning and Developmen~ Development Act ~Pubf ic Law 930383~ Community Developmen~ Block Grant Program
HI-~05~ 5R of 2D515R
Name af Grar~tee ~as shown in item 5 of Standard Form 424) 3. Grantee's 9-digit Tax ID Number 4. Date ~se af f~r~ds may begin
City of Encinitas 33-0197843 (mmlddlyyyy~ 61412q09
2. Grant~e's Camplete Address ~as shown in item 5 af Standard ~orm 424) 5a, P~ajectlGrant Na,1 6a. Amount A~praved
505 S. V~lcan Avenue B-a9-MY-Ofi-057'4 $~pl,~$3 Enci~itas, CA 92024 5b. Projec~IGrartt No. 2 ~b. Amaunt Appraved
CDBG-R Appropriations Cod~: 8b9100 ~ b 1
DUNS 789638095 5c. Pra~ectlGra~# Na 3 6c. Amount Approved
Grant Agreement: This Grant Agreement between the Department af Housir~g and Ur~an Developmen~ ~HUD} and the above named Gran~ee is made pursuant to the autharity of Title I af the Hovsing and Cammunity Develapment Act of 1974, as amended, (42 USC 53D1 et seq.}. The Grantee's submissions for Tit~e I ass~stance, the
HUD regulations at 24 CFR Part 570 (as naw in effect and as may be amended from time to time), and this Fanding Approval, incl~ading any special car~ditions,
constitute part of the Agreement, Subject to the provisions of this Grant Agreement, HUD will make the funding assista~ce specifi~d here available ta the Grantee upon executian of the Agreement by the parties. The fun~ing assistance specified in the Funding Approval may be use~ to pay costs incurred after the date speci~ed in item
4 above pravided the activities to which such casts are reIated are carried oUt in compliance with all applicable requirements. Pre-agreement casts may not be paid with
funding assistance specified k~ere unless they are autharized in HUD regulations or approved by waiver and listed in the special conditions to the Fun~ing Approval. The Grantee agrees to assume all of the responsibilities for environmentaI review, decision making, and actions, as specified a~d required in regulations rssued by the
Secretary pursuant tfl Section 1~4~g} of Title I a~d published in 24 CFR Part 58. The Grantee further acknowledges its responsibility for adherence to the Agreement by
sub-reci ient entities to which it makes fundin assistance hereunder available. ~J.S. Department of Housing and Urban Develo~ment ~By Name) Grantee fVame
VL~illiam G. Vasquez P.E. Cotton
~itle Titl~
Director, Of~ of Communi Planning and Development ity Mar~ager
Signa e ~ Date ~mmld Si re Qate (mmJddl )
- a~~~~ 7. Category af Tit~e ! As stance for this F din Actian Speci Can ' ian 9a. Date ~IUD Received Submissian 10, c~eck one
~eheck a~ly one~ ~c~ k one} (mmlddlyyyy) 6~4120~9 ~ a. 4rig. Funding ~ .
~ a. Entitlement, Sec ~06~b~ Nane 9b, Date Grantee I~atified A raval Pp
❑ b. S~ate•AdminEStered, Sec 105~dJ~1~ ~ Attached ~mml~dlyyyy~ ❑ b, Amendment ~ ❑ c. NfJD•Administered Smaii Cities, Sec 1~6~d7(2~~8~ Amendment Number
❑ d, Indian CDBG ~rograms, Sec 1 Q6~a}~~ ~ 9c. Date of Start af Program Year
❑ e, Surplus l~rban Renewal ~unds, Sec 112~b~ ~mmlddlyyyyy
❑ f, Specfal Purpase Grants, Sec 10l 11. Amount of Community Development Block Grant
❑ g. Loan Guarantee, Sec 108 FY ~2009~ FY F~Y a. Funds Reserved for this Grantee $1 Q7,b83
b, Funds now being Appraved $147,b83 '
; c, Reservation ~o be Cancelled '
11a minus 11b 1~a. Amaunt af Laan Guarantee Cammitment now bei~g Appraved 12b, Name and complete Address of Public Agency '
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~ Laan Guarantee Acceptance Pravisions #'ar Designated Agencies:
The public ag~ncy here~y accepts the Grant Agreement executed by the ~ Department of Hous~ng and Urban Development on the above date with ~
c respect to the above grant number~s) as Grantee designated to receive 1~C. Name a~ A~thorized 4fificiaf far Designate~ Public A enc
laan guarantee assistance, and agrees to comply with the terms and ~ y , canditions of the Agreement, applicable reguIations, and other
requirements of HUD naw or he~eafter in e~fect, pertair~ing to the Title ;
ass~stance provided it. ! i ~
5ignature ;
~ HUD Account~ng use 4nly ,
, E~ective Date '
Batch TAC Pragram Y A Reg Area Dflc~ment No. Project N~mber Categary Amount ~mmlddlyyyy~ F ~ i i
I ~53 ~
~ 76 ~
Y Project Number Amaunt 'f
! ~
f , Y ~ Pro'ec~ Number Amaunt ~
, } t
Date E~tered PAS ~mmld~lyyyyy Date ~ntered ~DCCS ~mmlddlyyyy) Batch ~Iumber 1"ransac~ion Code ~ntered By Verified By
24 CFR 57(~ fnrm NI Ill_7f~A~ Idla~1
' ' ~v~~~~ ~ ~vv ! vV~.. `I!V{,11 V il
SPECIAL C4NDITIQNS TQ THE GRANT AGREEMENT F~R
CaMMUNITY DEVEL4PMENT BL~CK GRANT RECOVERY ~CDBG-R} FUNDS
AUTHQRIZED AND APPR~PRIATED
UNDER THE AMERICAN REC~VERY AND RE~NVESTMENT ACT ~F ZU09
~PUBLIC LAV~ 111-5, FEBRUARY 17, 2049~
CDBG-R GRANTEE: City of Encinitas
CDBG-R GRANT NUMBER: B-09-MY-Ob-4574
CDBG~R GRANT AM4UNT: $147,653
CDBG-R APPROVAL DATE: ~
Special Conditions: _
The terms of the Grant Agreement include the following special conditions;
l. The Grant Agreement be~ween ~he U.S. Departmenti of Housing and Urban Development
~HUD} and ~he above named C~antee, ~s made pursuant ta the authority af Title ~II of the
Ame~~can Recovery and Reinvestment Act of 200~ ~Public Law 111-5} ~the Recovery Act}.
The Gran~ee acknowledges that the CDBG-R grant is one-~ime funding.
2. The Grant Agreement is governed by and the Gran~ee shall comp~y with the requirements of
the Recovery Ac~; the No~ice of Program Requirements for Community Deve~opment Block
Grant Program Funding Under the Amer~can Recovery and Rexnvestment Act o~ 2009, 74
Fed. Reg. 21$~6 ~May 1 l, 2009) available at h~t :Ilwww.hud. ovl~~ecover Icdblock.cfm ~as
now in effect and as may be amended from ~ime ~o time) ~the Notice}; Title ~ of ~he Housing
and ~ommunity Development Ac~ of 1974, as amended ~42 USC 530 ~ et seq.} ~as modifxed '
by the Notice~; and, the HUD regula~ions at 24 CFR parx 570 tas now in effec~ and as ma be Y amended from t~me to time} as modified by the Notice ~the Regulations), The Gran~ee's
submissions, ~he Notice, ~he Funding ApprovallAgxeement ~form HUD-7082} and the s ec~al ;
p conditions described herein axe incorporated by reference and constitute part of the Grant ;
, Ag~eemen~. Submissions inciude ~he CDBG-R action p~an substan~ial amendment, inciuding '
the certrfications and assurances and an informa~ion or documenta~ion re u~red to meeC an ~
~ q y grant awa~d conditions. In the event of conflict bet~veen a provis~on of the Grantee's
submissions and any other p~avision of this Gran~ Agreement document, the latter sha11 ~
control. ~
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3. The Grantee shall comply with governmentwide guidance and standard award terms ~
estab~ished by the 4ffice of Management and Budget ~nMB} concernin the im lementation ~ g p ,
of the Recovery AcC, including ~equirements for Irnplementing Sections 1512,1605, and ~ !
I~~6 of the American Rec~very and Reinves~rnen~ Act of 2~09 for Financial Assis~ance ± ~
Awards, 74 Fed. Reg.18449 ~Apx~~ 23, ~~09} ~to be codified at 2 CFR Par~ 17b} ~as now ~n ~
ef~ect and as may be amended from time to time}. No~withstandin the fore o~n , the ~ ~ g g ~
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~DBG-R Special ~irant Conditzons Page ~ of 2
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Grantee shall comply wi~h Section 1~4 of the CDBG Statute concerning ~he Davzs-Bacon
Act. The Grantee sha11 comply w~th reporting requixements established by HUD and ~MB
~inc~uding all revis~ons to such reporting requ~rements}, as we~X as Sections 1511, ~5I5, and
~ 553 of the Recover~ Ac~ ~inc~uding implementing guidance}.
4. The Grantee shall at al~ times maintaxn an up-to-date copy of its Grantee Submission,
includ~ng a~l amendments approved by HUD, on its In~erne~ website as required by the
Notice. The Grantee sha11 maintain ~nforma~ion on al~ drawdowns, deposits, and
expendi~ures of gxant funds and program income under this Grant Agreemen~ and any other
records required by appi~cable law, in its files, and shall make such ~nforma~ion avaiZable for
audit or inspect~on by duly authorized repxesenta~ives of HUD, HUD's ~ffxce of the
In~pector General, the Recovery Act Transparency Board, or the Comptroller General of ~he
United S~ates.
5. ~n addition ~o other lawful ~emed~es, HUD reserves the righ~ to re~tr~ct access ~o grantees'
CDBG-R funds for delinquent, incomp~ete, or inaccuxate reporting. This includes the right to
suspend access ~o the Integxated Disbursement and ~nformation System ~ID~S} should the
Gxantee fai~ to comply with quarterly CDBG-R reporting requirements,
6. The Grantee may take advantage of the pre-award costs provisions at Z4 CFR 570.24D~h} to
incur p~e-award costs associated w~th the deve~opment of the substant~ai amendment to Che
action plan beginning May 5, 24fl~. The Grantee may also incu~ cost~ prior to the grant
awaxd for specific activi~ies as of the date Che CDBG-R action plan substantial amendment
was submit~ed to HUD.
7. The Grantee is adv~sed that prov~ding fa~se, fictitious or misleading information with respect
~o ~DBG-R funds may resul~ in criminal, civil or administrative prosecution under 1 S U.S.~.
§ l~~I,18 U.S.C. § 1343, 3~ U.S.C. § 3729, 31 U.S.C. § 3SOi or anothe~ app~xcable statute.
The Grantee shall promp~l~ refer ta HUD's ~ffice o~ the ~nspector General any credible
evidence that a p~~ncipal, employee, agent, cantractor, sub-gran~ee, subcontractox, o~ other
pe~son has submitted a false cla~m under the Fa~se Claims Act or has committed a crim~na~ ar
civil violat~on of ~aws pertaining to fraud, conflict of interest, bribexy, gratui~y, or similar
misconduct involving CDBGWR funds.
S. ~n any contract involving ~he use of CDBCr-R funds, the Grantee shal~ include, and require its
subrecipients and contractors to xnclude, a projecC sign provis~on cons~stent with cx~~eria
estab~~shed by ~he Secre~ary.
9. The Gxan~ee shall have until September 30, 2012, to expend the ent~re CDBG-R Grant
Amount. ~DBG-R funds not expended by September 30, 2412, wil~ be recaptured by HUD. ,
1~. The Grantee sha~i extend a1~ a l~cabie terms and conditions of this xanC award to ~ p~ g
subrecipients and contractors, includ~ng ob~aining a DUNS number ~or updatxng the existing
DUNS recoxd}, and registering with the Centxal Contrac~nr Registration ~CCR},
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11. The Grant Agreement may be amended in v~rit~ng by HUD. In considering praposed
amendmen~s ~o this Grant Agreement, HUD shall review, among othex things, whether the
amendment is othe~wise consistent w~th the Recovery Ac~, the Housing and Communitiy
Deve~opment Act, the Not~ce and the Regulat~ons. ~
CDBG-R Specia~ Grant Cond~txons Page 2 of 2